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Prodensa Weekly Manufacturing Report Mexico March 18, 2026

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- MEXICO

USTR INVESTIGATION ON MEXICO

• The United States government announced the launch of trade investigations into 16 economies— including Mexico—to determine whether their industrial policies and manufacturing output create “structural overcapacity” that harms U.S. industry.

• The investigation will be conducted under Section 301 of the U.S. Trade Act of 1974, which allows Washington to respond to foreign practices deemed unfair or discriminatory.

• The investigation includes economies such as China, the European Union, Japan, India, Vietnam, and Mexico, and could eventually lead to the imposition of new tariffs. It is important to note that Canada is not mentioned.

• Secretary of Economy Marcelo Ebrard downplayed the potential impact on Mexico, noting that approximately 85% of Mexican trade conducted under the USMCA is not subject to Section 301 measures.

• He explained that the probe is partly intended to provide legal grounds for potential tariffs after the U.S. Supreme Court invalidated the IEEPA tariffs.

• The USTR will begin receiving public comments on March 17th, with hearings scheduled to start in May.

SOURCE: LA JORNADA

- MEXICO

SHEINBAUM PRESENTS ELECTORAL REFORM “PLAN B” AFTER SETBACK

• President Sheinbaum announced that her administration will submit a “Plan B” electoral reform proposal to Congress next week after lawmakers rejected her broader constitutional initiative in the Chamber of Deputies.

• The new proposal will focus on reforms that do not require constitutional changes and can therefore be approved with a simple majority.

• The proposal will also seek to strengthen mechanisms for citizen participation and adjustments to the rules governing presidential recall referendums, potentially allowing the executive branch to decide whether the process takes place in the third or fourth year of a presidential term.

• Although the revised proposal has less implication to other parties than the original one, it is still unlikely that it will be approved considering that President Claudia Sheinbaum stated that, if it doesn’t pass in Congress, there is no problem.

• Nonetheless, this constitutes a political setback for the mandatory as it is her first Constitutional initiative that without the full approval from the MORENA coalition.

SOURCES: EL FINANCIERO

- MEXICO

HEMISPHERIC MILITARY STRATEGY AGAINST CARTELS

• President Trump announced a security initiative called “Shield of the Americas,” aimed at coordinating allied governments to confront drug cartels across the hemisphere.

• The gathering notably excluded Mexico, Brazil, and Colombia, underscoring divisions in security approaches.

• Trump offered U.S. military support to partner governments and suggested that advanced weapons could be used against cartel leadership. He also reiterated criticism of Mexico, describing it as the “epicenter” of cartel-related violence in the region.

• In response, President Sheinbaum reaffirmed that Mexico will not allow foreign troops to operate on its territory and emphasized that operations against organized crime remain exclusively under Mexican authority and reiterated calls for Washington to curb the flow of illegal firearms into Mexico.

• This highlights growing tensions over security policy in the region, proving that anti-cartel strategies is a recurring point of friction in bilateral relations with Mexico.

SOURCE: LA JORNADA, EL FINANCIERO

PLAN MEXICO ADVANCEMENT

• Developers affiliated with the Mexican Association of Private Industrial Parks announced the launch of 20 industrial parks linked to the federal government’s Plan México strategy, marking an early milestone toward the goal of developing 100 such projects nationwide.

• The parks represent more than $700 million in investment.

• The projects are located across 10 key states including Nuevo León, Baja California, Chihuahua, Jalisco, and Mexico City.

• The sites are designed to support sectors such as automotive, aerospace, electronics, medical devices, and logistics.

• This is yet another example of efforts made by the government and to expand industrial capacity and position Mexico as a key manufacturing platform.

SOURCE: EL FINANCIERO

LEGISLATIVE CHANGES AND INITIATIVES

INDUSTRY

• DRAFT DECREE AMENDING THE FEDERAL LAW FOR THE PROTECTION OF INDUSTRIAL PROPERTY ON TECHNOLOGY TRANSFER AND PATENT PROCESS SIMPLIFICATION

Presented by:Legislative Studies and Economy Commissions

Objective: It seeks to strengthen scientific development, technological innovation, and technology transfer. It promotes faster patent approval processes. The initiative aims to improve regulatory efficiency and enhance Mexico’s competitiveness by supporting innovation.

Status: Approved on March 10, 2026, and sent to the Chamber of Deputies

• INITIATIVE TO AMEND THE FEDERAL LAW ON PROTECTION OF PERSONAL DATA HELD BY PRIVATE PARTIES

Presented by:Sen. Víctor Mercado (MORENA)

Objective: The initiative defines digital platforms as private intermediaries between providers and consumers of goods or services and establishes new obligations for personal data controllers. These include implementing cybersecurity measures, notifying authorities of data breaches, limiting data collection, informing users about retention periods, etc.

Status: Published in the Parliamentary Gazette on March 10, 2026

LEGISLATIVE CHANGES AND INITIATIVES

PUBLIC ADMINISTRATION

• CONSTITUTIONAL ELECTORAL REFORM

Presented by:Constitutional Points and Electoral Reform Commissions

Objective: proposes reducing public financing for political parties, regulating artificial intelligence in electoral content, enabling digital participation in popular consultations, and strengthening controls against illicit campaign funding. It also modifies the composition of Congress, adjusts proportional representation rules.

Status: Rejected on March 11, 2026

ENVIRONMENTAL

• INITIATIVE TO AMEND THE GENERAL LAW FOR THE PREVENTION AND MANAGEMENT OF WASTE

Presented by:Dip. María Guadalupe Morales Rubio (MORENA)

Objective: The initiative empowers authorities to promote sustainable production and consumption of biodegradable plastics, regulate single-use plastics and products containing microplastics, and reduce environmental impacts associated with plastic manufacturing and use. It also authorizes state governments to regulate or prohibit certain plastic products.

Status: Published in the Parliamentary Gazette on March 10, 2026

• MINUTE WITH DRAFT DECREE AMENDING THE FEDERAL LABOR LAW ON DIGITAL DISCONNECTION

Presented by:Chamber of Deputies

Objective: Establishes digital disconnection as the right of workers to refrain from engaging in work-related communications outside working hours, including during rest periods, vacations, and leave. It requires employers to respect this right and adopt internal policies regulating communication practices, promoting work-life balance while considering the nature of each employment relationship.

Status: Published in the Parliamentary Gazette on March 10, 2026

LABOR

NEWS BY STATE

BAJA

CALIFORNIA

INDEX Mexicali is strengthening its efforts to develop local suppliers through a strategic agenda aimed at building a more competitive industrial ecosystem, led by President Salvador Maese Barraza. A key initiative is the launch of “SUPPLY Match,” a digital platform designed to efficiently connect IMMEX companies with local suppliers, improving visibility, decision-making, and business opportunities. The organization is also providing personalized support to help companies adopt the platform and maximize its benefits. Beyond digital tools, INDEX is fostering collaboration among government, private sector, and academia to drive supplier development across key industries such as metal-mechanics, plastics, medical devices, IT, semiconductors, and aerospace. This coordinated approach seeks to optimize regional supply chains, reduce operational and logistical variability, lower working capital, diversify risks, and ultimately improve investment returns by positioning Mexicali as an integrated and efficient industrial ecosystem.

SOURCE: INDUSTRIAL NEWS BC

NEWS BY STATE

CHIHUAHUA

INDEX Chihuahua held its March monthly meeting, bringing together manufacturing leaders to address key issues related to security, infrastructure, and industry coordination aimed at strengthening the state’s competitiveness. The session, held at Expo Chihuahua, included updates on security efforts in Aldama, as well as the upcoming “Safe Summer Operation 2026,” designed to enhance safety during peak mobility months. Participants also reviewed infrastructure projects funded through the payroll tax (ISN), which supports strategic developments to improve logistics and industrial growth. Additionally, the meeting fostered collaboration across the manufacturing ecosystem, shared upcoming industry events, and welcomed CommScope as a new member, reinforcing INDEX Chihuahua’s role as a key platform for coordination between companies, government, and stakeholders to support economic development and operational stability in the region.

SOURCE: MEXICO INDUSTRY

NEWS BY STATE SONORA

The Sonora government has launched a major binational digital connectivity project with an investment of over 1.25 billion pesos in the state, as part of the broader “Proyecto Tikva,” which aims to build more than 3,000 kilometers of high-capacity fiber optic infrastructure between Mexico and the United States. Led by Governor Alfonso Durazo, the initiative seeks to strengthen Sonora’s position as a key hub for technological and economic development, while expanding high-speed internet access to underserved communities. The project will benefit more than 16 cities, support strategic industries such as manufacturing, mining, agriculture, and technology, and enhance opportunities in areas like online education and telemedicine. Additionally, it is expected to boost nearshoring investment by improving cross-border data flow and digital infrastructure, further integrating the region into the global digital economy.

SOURCE: LJA.MX

NEWS BY STATE

NUEVO LEON

IncMTY 2026 has kicked off in Monterrey as a major entrepreneurship festival centered on artificial intelligence, innovation, and business development, featuring over 200 activities including conferences, panels, networking sessions, and startup exhibitions. The event brings together corporations, startups, investors, and government representatives to foster collaboration and drive the growth of new ventures, with venues at Tecnológico de Monterrey and the Autonomous University of Nuevo León. Leaders highlighted the ci-

ty’s ambition to position itself as a global innovation hub, emphasizing the importance of connections and collaboration in building successful businesses. With Japan as the guest country, the festival also strengthens international cooperation in science and technology, while organizers expect between 8,000 and 15,000 attendees, reinforcing Monterrey’s role as a dynamic center for entrepreneurship in Latin America.

SOURCE: MEXICO INDUSTRY

NEWS BY STATE GUANAJUATO

The Puerta Logística del Bajío project in Celaya, Guanajuato, is set to become a key driver of regional development, with construction beginning in 2026 and operations expected by 2027. Backed by an investment of approximately 2.5 billion pesos, the 52-hectare logistics hub is in final negotiations with companies from the agroindustrial, metal-mechanic, and logistics sectors. Designed as an intermodal “dry port,” the project will feature rail and road connectivity, including 12 kilometers of railway tracks, storage facilities, and a customs section to streamline trade with the U.S. and Canada. In collaboration with major rail operators, it will enable efficient cargo transfers, reduce transportation costs, emissions, and road congestion, while improving supply chain efficiency through cross-docking capabilities. Together with Guanajuato Puerto Interior in Silao, the project aims to position the state as a dual logistics hub, strengthening connectivity to key ports and enhancing overall industrial competitiveness.

SOURCE: EL ECONOMISTA

NEWS BY STATE

QUERETARO

CCI France México hosted the Rendez-Vous Empresarial in Querétaro, bringing together key players from the industrial ecosystem to strengthen collaboration, knowledge sharing, and business connections in one of Mexico’s most dynamic regions. The event highlighted the growing importance of the aerospace sector, with visits to the Querétaro Aerocluster and companies like Lauak Aerospace México, a global supplier of aircraft components, showcasing the region’s advanced manufacturing capabilities and talent development. Participants also visited Schneider Electric to learn about its role in driving industrial and technological innovation. Through networking and strategic discussions on efficiency, innovation, and supply chain integration, the event reinforced collaboration between French and Mexican companies, positioning Querétaro as a leading hub for aerospace and advanced manufacturing.

SOURCE: MEXICO INDUSTRY

NEWS BY STATE

MEXICO CITY

• KIO Data Centers inaugurated the MEX8 data center in Mexico City, a project involving an investment of $70 million aimed at strengthening the capital’s digital infrastructure and supporting the growth of the digital economy.

• The facility is designed to increase installed technological capacity and reduce service latency for sectors such as e-commerce, fintech, digital health, cybersecurity, and logistics platforms.

• The project is also expected to generate around 3,000 direct and indirect jobs during its construction phase, mainly in engineering, infrastructure, and technology-related services.

• Company executives highlighted that the data center will support the expansion of digital services and cloud-based platforms while reinforcing Mexico City’s position as a regional technology hub.

SOURCE: MEXICO INDUSTRY

NEWS BY STATE

STATE OF MEXICO

• Bayer is advancing a long-term growth strategy in Mexico through a MXN 1.9 billion investment to modernize and expand its manufacturing facilities in Lerma and Orizaba.

• Approximately MXN 1.1 billion is being invested to expand the Lerma plant’s production capacity by 40%, with the project about 70% complete and expected to finish by the end of 2026. The facility produces over-the-counter medicines, including Aspirin and Alka-Seltzer, and is projected to increase output from 86 million units in 2025 to about 100 million in 2026.

• Around 40% of production is exported, mainly to the United States and Latin America.

SOURCE: EL ECONOMISTA

INVESTMENT NEWS

CENTRAL MEXICO

BAJAJ MOTODRIVE

Bajaj MotoDrive, an automotive and motorcycle manufacturer, will invest US$145 million to build a new assembly plant in the Valle de Toluca, State of Mexico. The facility will have a capacity of up to 500,000 motorcycles annually and generate approximately 2,500 direct and 6,000 indirect jobs, strengthening Mexico’s two-wheel vehicle industry.

GRUPO INDULMIL

Grupo Indumil, a company in the defense, security, and ballistic-protection manufacturing industry, invested US$9 million to inaugurate a new plant in Hidalgo. The facility produces ballistic vests, armored glass, and vehicle armor solutions, strengthening Mexico’s capabilities in high-value security manufacturing.

MITSUBISHI MOTORS

Mitsubishi Motors de México, part of the automotive and aftermarket logistics sector, expanded its spare-parts warehouse within the DHL Supply Chain macro-logistics center in the State of Mexico, increasing space from 3,800 m2 to 6,000 m². The upgrade strengthens parts availability and reduces delivery times, enhancing aftersales service nationwide.

NISSAN

Nissan Mexicana, a global automotive manufacturer, inaugurated a new logistics yard (NIFT) in Aguascalientes. The 80,000 m² facility can accommodate over 260 tractor-trailers and supports a network that moves 3 million parts daily and 4,000 vehicles, significantly improving logistics efficiency and distribution capacity.

SOURCES: CLUSTER INDUSTRIAL, MEXICO INDUSTRY

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